28 MPG combined is an acceptable figure for the 2023 Volvo XC60 T8 AWD Recharge. However, this number doesn’t tell the whole story. This plug-in hybrid luxury SUV prioritizes guilt-free performance and the option to drive without using gasoline on shorter trips, not just maximizing miles per gallon. Its target buyer values Scandinavian design, advanced safety, and a commitment to sustainability, even if the fuel economy isn’t best-in-class, at least based on EPA ratings.

City and highway performance

The EPA estimates the 2023 XC60 T8 Recharge at 28 MPG in both city and highway driving. This consistent rating is due to how the plug-in hybrid powertrain works. In cities, the electric motor powers much of the driving, especially with regenerative braking. While the gasoline engine is used more on highways, the electric motor still adds power, improving efficiency even at higher speeds. These numbers are based on a mix of electric and gasoline use. If you mainly drive short distances and regularly charge the battery, your actual fuel use could be much lower, even zero.

Annual fuel cost

The EPA estimates the annual fuel cost for the 2023 Volvo XC60 T8 AWD Recharge at $2,050. This is based on 15,000 miles per year, using national average fuel prices. This is only an estimate, though. Your actual fuel costs will change depending on how you drive, how often you drive on electric power, and local fuel prices. Drivers who maximize electric motor use and minimize gasoline use will likely see annual fuel costs much lower than the EPA estimate. But those who rarely plug in and mostly use the gasoline engine may find their fuel expenses higher than $2,050.

Real-world expectations

Real-world fuel economy for the XC60 T8 Recharge depends greatly on charging habits. If you regularly plug in, using the car’s roughly 35 miles of electric range, you can significantly lower your gasoline use. Daily commutes within that range can be done almost entirely on electricity. Longer trips will rely more on the gasoline engine, and your MPG will be closer to the EPA estimates. Driving aggressively will also hurt fuel economy, and the same is true if you skip routine maintenance. This vehicle rewards careful driving and consistent charging, giving the best efficiency to those who actively manage its hybrid powertrain.

How it compares

The XC60 T8 Recharge offers competitive, but not class-leading, fuel economy compared to other luxury plug-in hybrid SUVs. The Lexus NX 450h+ gets 36 MPG combined and has a longer electric range, which may appeal to those focused on fuel savings. The BMW X3 xDrive30e, discontinued for 2023, previously offered similar performance and fuel economy, around 24 MPG with a smaller all-electric range. Traditional gasoline SUVs in the same class, like the Acura RDX (23 MPG combined) or the Audi Q5 (26 MPG), don’t offer the potential efficiency of the XC60 T8 when you use electric power. Often, the XC60 buyer is less interested in just MPG numbers, and more interested in the luxury, safety, performance, and the chance to reduce their carbon footprint. You can also view XC60 MPG across all years.

Tips to maximize efficiency

Charge as often as possible. Even short charging sessions can add to the battery and let you drive electric for part of your next trip. Make it a habit to plug in at home overnight or at work during the day to maximize your electric driving range.

Use the “Pure” driving mode in cities. This mode uses electric power first, minimizing gasoline use. Be careful with acceleration, because aggressive throttle will force the gasoline engine on, negating the benefits of electric-only operation.

Use regenerative braking. By gently releasing the accelerator, you can recover energy and recharge the battery, extending your electric range. Avoid hard braking, because this reduces the energy captured by the regenerative braking system.

Keep your tires properly inflated. Underinflated tires increase rolling resistance, reducing fuel economy. Check your tire pressure often and inflate them to the recommended levels on the doorjamb sticker.

Reduce aerodynamic drag. Remove any unnecessary cargo from the roof rack, because this increases wind resistance and reduces fuel efficiency. Even small changes can help, especially at highway speeds. If you’re interested in seeing the broader picture, check out all Volvo fuel economy data.